Answer:
D. Spending on services is smaller than the amount of consumption spending on durable and nondurable goods.
Explanation:
For developed countries like the U.S, there is a lot of stress in consumption of services such as good health care, appropriate and quality education and among others. These services contribute to a larger proportion of consumption component of GDP than both durable and nondurable commodities. Therefore, the statement “spending on services is smaller than the amount of consumption spending on durable and non-durable goods” is not correct
Answer:
The correct answer is Option B.
Explanation:
Based on IAS 10 Events after the Reporting Period, subsequent events can be an adjusting event or non-adjusting event. If it is an adjusting event, it means an event after the reporting date before the audited financial statements are signed that provides further evidence of conditions that existed at the reporting date. However, non-adjusting events are events after the reporting date that are indicative of a condition that arose after the reporting date, this requires disclosure in the financial statements while for adjusting events, the financial statements are adjusted for condition that arose after the reporting date.
The declaration of the customer as bankrupt is an adjusting event since it affects the receivable collection, hence the need to adjust it as uncollectible,
Answer:
Closing Stock = <u>38000 </u>
Explanation:
Net Sales = COGS + Gross Profit
- <u>Net sales</u> = sales - sales return = 185000 - 6000 = 179000
- <u>Gross Profit</u> = 60% of sales (as per gross profit ratio)
= 60% of 179000 = 107400
- <u>COGS </u>= Opening Stock + Net Purchase + direct expenses - Closing Stock
* <u>Net purchase</u> = Purchase - purchase return = 111000 - 4500 = 106500
*<u>Direct Expense</u> = Freight Inwards = 3100
Putting all values in formula :- Net Sales = COGS + Gross Profit
179000 = (0 + 106500 + 3100 - closing stock) + 107400
179000 = 106500 + 3100 + 107400 - closing stock
179000 = 217000 - closing stock
closing stock = 217000 - 179000
closing stock = 38000
Answer:
c. Trademark.
Explanation:
it is a termed used for identification of signed or design of some particular corporation. sometimes trademark become more famous than corporation therefore main motives behind trademark is to used as a symbolization of corporation. It is used to protect the original design of the company and brand name.
Answer: Shipper A with 100.50 rate per day
Explanation: To find the best shipping option, we have to calculate the average cost per shipper.
Shipper A: Shipper B:
2-day rate = $526 2-day rate = $532
3-day rate = $470 4-day rate = $459
9-day rate=$411 7-day rate = $412
Average rate per day Average rate per day
= 526+470+411 =532+459+412
=1407/14days =1403/13days
=100.50 =107.92
From the above calculation, holding cost for shipper A= 100.50*0.34=34.17 while holding cost for shipper B= 107.92*0.34 = 36.69
From the above calculation shipper A will be preferred as it has the lowest price per unit and holding cost.
